Traditional homeownership can come with some drawbacks, such as a lot of property maintenance, high mortgages, and reduced mobility. For many, homeownership is an important milestone or step in life. However, you may get to the point where your current housing is too much, and you start considering alternatives, such as downsizing from house to condo living.
However, condo living and traditional home ownership can be very different living circumstances, so you need to carefully consider the pros and cons of moving from house to condo or whether condo living is right for you. As your home insurance and condo insurance experts, Morison Insurance has put together this guide to help you determine whether you should consider downsizing from house to condo ownership.
Downsizing is the process of reducing the size of something. In housing terms, downsizing means reducing the size of your living space, such as moving from house to condo ownership.
There are many reasons why someone may want to consider downsizing from house to condo space. One of those reasons is money. As condos are typically smaller than traditional stand-alone or even semi-detached homes, they typically cost less to purchase, so you don’t have so much of your money tied up in home ownership. Lifestyle considerations are also a common reason for downsizing from house to condos, as condo living typically lends itself to simplified lifestyles or freedom of movement.
Whatever your reason for downsizing from house to condo, before doing so, you should note that there are several very big differences between homeownership and condo ownership. Before doing so, you need to take into account several considerations, including:
Living in a condo space is very different from living in your own home. So when deciding whether to move into a condo from your existing house, you need to consider whether downsizing from house to condo living is right for you.
Downsizing often has negative connotations attached to it, but downsizing from house to condo spaces doesn’t have to be a downgrade in living space. In fact, some people prefer condo living over traditional home ownership.
There are lots of advantages to downsizing from house to condo living, which include increased security, lower housing expenses, less maintenance and upkeep, access to amenities, community living and accessibility.
Most condo spaces are in buildings, where you enter through a main entrance and then go on to your private unit. Many of these buildings have security features, such as key fobs and codes to buzz visitors up, secured parking lots, 24/7 video surveillance in common areas, and private security patrolling the area. Plus, with an abundance of neighbours, there is always someone keeping an eye out.
Living expenses are one of the biggest appeals of downsizing from house to condo spaces. Not only is the upfront cost of a condo typically lower than buying a house, but it also typically has lower costs associated with utilities, maintenance, property taxes, and seasonal costs.
Downsizing from house to condo living means you won’t have to worry about many maintenance tasks typically associated with home ownership, such as taking out the trash, shoveling snow, lawn care, and outside home repairs, as these are typically taken care of by the condo board and paid for by your condo fees.
One of the benefits of condo living is that it typically places you closer to many neighbourhood amenities, such as grocery markets and shopping. Additionally, depending on your building, you may have access to building-exclusive recreation areas, fitness facilities, or even public stores in your building.
Because so many people live so close together in condominiums, it creates a greater sense of community. Additionally, many people who choose condo living are community-minded, allowing those living there to foster closer bonds.
Many homes, including modern homes, are not built with accessibility in mind, and you would need to make modifications to improve accessibility. Condos, however, typically come with features such as elevators and building ramps, and recent condo developments are required to abide by regulations set by the Accessibility for Ontarians with Disabilities Act (AODA), Ontario Human Rights Code, and Ontario Building Code (OBC), while single-family homes only need to accommodate individuals with disabilities to the point of undue hardship as per the Ontario Human Rights Code.
Just as there are some distinct advantages of downsizing from house to condo properties, there are also disadvantages. These include less living and storage space, limited outdoor areas, less privacy, restrictions on renovations, pet ownership restrictions, and monthly condo fees.
When in a house, you typically have it all to yourself, including the outdoor area. In a condo, however, you typically have your interior unit, your assigned parking space(s), and a small balcony for your use, and that’s it. This means you have a smaller space to enjoy and less space to store your belongings. This means decluttering and downsizing your belongings or investing in a storage unit.
When moving from house to condo living, there is a distinct downsize in private outdoor space. Whereas a single-family home has a private yard, you typically have a small balcony or no private outdoor space at all with a condo. Any outdoor amenities the condominium has is shared space, so keep that in mind when downsizing from house to condo properties.
Condo communities typically have dozens, if not hundreds, of residents living very close together, so privacy is often a major concern when downsizing from house to condo living. Sharing walls and communal spaces can take some getting used to, so consider your privacy needs when thinking about downsizing.
When thinking about moving from house to condo buildings, remember that you only own the interior unit, not the structure, and as such, any renovations must be approved by the condo board. Different boards may have different restrictions, especially for structural modifications, and you may be limited in what you can do.
Not all condo buildings allow for pets, and others may require you to pay an additional fee or have restrictions on the type of pet allowed on the premises. Additionally, condo living can be tricky depending on your pet’s activity needs, so it’s something to look into when considering downsizing from house to condo space.
When downsizing from house to condo, keep in mind that an additional living expense you would incur is condo and maintenance fees. These monthly fees pay for everything from building improvements and exterior maintenance work to running communal spaces and amenities, and will need to be included in your budget. If you don’t use those spaces/items frequently, you may want to consider alternative living arrangements over a condo lifestyle.
If you’ve considered the pros and cons of downsizing from house to condo space and decided to make a move, there are a number of things you need to do to prepare for the transition.
For a start, unless you already live in a small home or are a minimalist, you probably have too much stuff for your new home, so it’s time to start decluttering and getting rid of items you won’t need. For instance, those bulky couches or that big dining room set likely won’t fit into your new space, so either sell them or donate them. Get measures of your new condo living space to determine if your existing furniture can fit in and what your furniture placement will be like. You will also need to let go of things you won’t need, such as your lawn mower or exterior holiday lights. As space will be at a premium, carefully consider any items you have in storage and what you don’t really use. Moving is a great time for decluttering anyway, as you don’t want to pay to move stuff you don’t want or use.
Additionally, before you move into your new condo property, make sure to carefully research the condo board rules and regulations. Not only will this help you avoid ruffling feathers once in your new home, but there may be certain rules for moving into the building. For example, you may need to book time in a certain elevator, or your movers may need to park in a specific place.
When downsizing from a house to condo property, don’t forget to update your insurance as well. Since there are many differences between house and condo living, your insurance needs will change, and it will be important to ensure that your unit and your personal belongings are properly protected. A Morison Insurance broker will be more than happy to help you get the specialized insurance coverage you need to ensure you are properly protected in your new condo. Give us a call today at 1-800-463-8074, or request an insurance quote online.
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